IntroductionSimilarly, product positioning is an important element of a marketing. Product positioning is the process marketers use to determine how to best communicate their products' attributes to their target customers based on customer needs, competitive pressures, available communication channels and carefully crafted key messages. Effective product positioning ensures that marketing messages resonate with target consumers and compel them to take action.

Even companies, who have mass marketing phenomena, are now adopting this new world’s strategy i.e. segmentation. The purpose of segmentation is the concentration of marketing energy and force on subdividing to gain a competitive advantage within the segment. It’s analogous to the military principle of concentration of force to overwhelm energy. Concentration of marketing energy is the essence of all marketing strategies and market segmentation is the conceptual tool to help in achieving this focus. The marketer must try to understand the target market’s needs, wants, and demands. Need can be described as basic human requirements. People need food, air, water, clothing, and entertainment. These needs become wants when they are directed to specific objects that might satisfy the need. An American needs food but wants hamburger, French fries and a soft drink. Wants are shaped by one’s society (Kotler, 2000)..

Strategically, the business must be centered on the customers more than the products. Although good and quality products are also essential, the buying public still has their personal preferences. If an organisation targets more of their needs, they will come back again and again and even bring along recruits. On the other hand, if an organisation push more on the product and disregard their wants and the benefits they can get, the organisation would potentially lose customers in no time. Unfortunately, getting them back would be the hardest part.

Segementation:
The process of dividing a market into meaningful, relatively similar, identifiable segments or groups

1.0 Introduction:

Marketing is a very important aspect in business since it contributes greatly to the success of organizations. Production and distribution depend largely on marketing. Marketing covers advertising, promotions, public relations, and sales. It is a process of introducing and promoting the product or service into the appropriate market(s) and encourages sales from the buying public. Since the goal of marketing is to make the product or service widely known and recognized to the market, marketers must be creative in their marketing activities.

Today where the world is being recognized as global village marketing has become vital ingredient for every business success. It is almost become difficult to every competitor to survive in market for a prolonged period because competition is cut to throat. Change or die is the core faith of marketing. Therefore, marketing has powerful potential to contribute to the highly important aspects of the organisational competitiveness, namely innovation (Kerin, 1992) and competitive analysis (Varadarajan, 1992).

Effective marketing strategies or marketing campaigns often consist of a combination of several marketing tactics that work together in a synergistic way to establish brand, reduce sales resistance, and create interest and desire for products and/or services. Therefore, carrying out market segmentation, targeting and positioning are important elements of successful marketing.

This means that the business will
need to develop an appropriate
marketing mix for each segment.
Market segmentation enables a
business to:
• accurately defi ne its markets;
• position products and services to
match the demands of particular
markets and segments;
• identify gaps in the market that it
could fi ll;
• make more effi cient use of its
marketing resources.

YOU MAY ALSO FIND THESE DOCUMENTS HELPFUL

...Market segmentation allows businesses to satisfy the diversity in a resource-effective manner and is held up as the panacea of modern marketing (Dibb, 2001). Marketing segmentation is more and more vital for business in the modern time. This essay, therefore, tend to introduce the concept of market segmentation first, then and the merits and difficulties will be illustrated. Finally, different approaches are going to be demonstrated.
Marketsegmentation is the process by which a diverse market is divided into a number of distinct sub-markets (Walker and Mullins). The objective is to identify groups of customers with similar needs and characteristics so that they can be served effectively (Jobber, 2007). By grouping together with similar needs, market segmentation provides a commercially viable method of serving these customers which enables consumer needs to be more closely matched. Consequently, firms and organizations can improve their marketing effort by developing specific products or services for particular segments.
Four advantages are visible for us. Market segmentation provides the basis for the selection of target markets (Jobber, 2007). A target market can be seen as a chosen segment of market that a company has decided to serve. Because customers in the target market segment have similar needs and characteristics, understanding of its customers will be improved so that a...

...company or business to effectively respond to different customers needs and wants in order to increase sales, they make use of market segmentation. Market segmentation as defined by Kerin, author of Marketing, 10e; involves grouping potential customers who have common needs and will respond similarly to a marketing action. In further elaboration to define segmentation, if there is a demographic group of customers who are all on diets and are watching their weight (common needs/desires) and a business markets the segment of dark chocolate as a healthier option to satisfy sweet cravings, this would be an example of market segmentation. On the same token if a company were to market the medical and health benefits of dark chocolate, a demographic that would similarly respond to this marketing action would be the health-conscious demographic. There are a few different segmentation basis’s that are relevant to chocolate bars, it is a multiple product aimed at multiple market segment industry, a few segments that can be used in the chocolate industry are demographic, psychographic, and behavioral. Demographic includes age (kids are more likely to chocolate than adults), gender (Females are more likely to have cravings for chocolate than males are), and life stage (parents with young children are likely to purchase chocolate). Psychographic segmentation includes personality (compulsive buyers,...

...Market Segmentation Of Pepsi At An International Level
The history of Pepsi-Cola starts in 1896 in the town of New Bern in North Carolina, USA in a drugstore owned by the pharmacist Caleb Bradham. He came up with many recipes of new drinks to be served at the soda fountain of his drugstore.
Brad ham aim was to create a drink both delicious, healthy, aiding digestion and boosting energy. It would be free of impurities and it should not contain any strong narcotics. Eventually one of his drinks became very popular and the customers started to call it Brad’s drink. This was the beginning of Pepsi-Cola’s story and later, Brad ham’s vision was turned into a mission for the future company.
In 1905 Pepsi started with bottling franchises and registered its trademark in Canada and Mexico in 1908. At the same time the U.S. government enacted the Pure Food and Drug Act prohibiting substances such as arsenic, barium, uranium, etc. in food and beverages. Consequently, many soft drink manufacturers, including Coca-Cola, had to change their formulas. Pepsi exploited the situation against their main competitor Coca-Cola, by claiming that they already met federal requirements.
Distribution was modernized with motor vehicles and started to promote its products using famous public figures like Barney Olfield, an automobile race pioneer who endorsed Pepsi.
In the 1920’s and 1930’s the company experienced financial difficulties and went bankrupt twice in 1923 and 1931. In...

...﻿Abogadie Maria Glady H.
Tour 122
Prof. Evangeline Ortiz
December 12, 2014
Shangrila Hotels, A Fusion of Asianness and Luxury
When the namesake “Shangrila” was taken from James Hilton’s legendary novel “Lost Horizon” it became a brand of world-reknowned hotel chains, and everything else was history. Shangrila Hotels’ tourism planning, strategy and marketing all revolve around this brand image of a lost paradise, with an Asian setting, and a trademark of luxury.
Shangri-La Hotels and Resorts was founded in 1971 by the Malaysian-Chinese tycoon Robert Kuok and managed by Westin until January 1983. The Shangri-La Hotel and Resorts were established in 1982. Located at the hub of Ortigas Center, near EDSA, The Shangrila Hotel offers a posh and luxurious haven in the midst of the bustle and hustle of Metro Manila. It stays true to its brand’s maxim, “There’s no greater act of hospitality than to embrace a stranger as one’s own.” Shang aims to provide a sense of “Asian-ness” and hospitality by giving luxury services.
These, among other helpful information, were presented to us during our Out-of-the-classroom learning activity at Shangrila EDSA, Ortigas on October 26-27, 2014. The hotel’s executive staff themselves presented the UP AIT students an overview of the basic operations of the Shangrila Hotel: Room Services and bedmaking; the back-of-the-house, which...

...Chapter 8 is entitled Segmentation, Targeting, and Positioning and focuses on how companies divide their markets, how they choose which markets to pursue, and how they position their products to make them more attractive to consumers. The chapter starts of by detailing the five levels of the Segmentation, Targeting, and Positioning Process. The first two steps are a part of Segmentation and they are developing the strategies or objectives andsegmentation methods. The next two steps, evaluating the segment attractiveness and selecting a target market are a part of Targeting. The last step is a part of the Positioning step and it consists of identifying and developing a positioning strategy.
In developing the objectives, companies articulate their vision based on results received through a SWOT Analysis and the company objectives. The segmentation methods allows the company to divide their market into various segments in order to understand the needs of customers who are alike based on geographic, demographic, psychographic, geodemographic, benefits, and behavioral factors. The geographic segmentation divides customers in groups determined by where they live. Demographic segmentation divides customers in groups based on age, gender, income, and education. Demographic segmentation is probably the best type of...

...﻿segmentation, targeting, positioning, differentiation and branding
For many organizations today to be successful they must know what consumers needs are, so as to satisfy them successfully and profitably to avoid wastages of resources. For these organizations to be successful they have to undertake segmentation, so as to know their target market and also to know the available competitors in the market producing the same goods. As a matter of fact, for Colgate to be successful they must segment their market to better know their target market and their competitors.
1. Segmentation overview
Definition of segmentation.
“Segmentation is a marketing strategy which consist of dividing the market in smaller groups allowing the research of categories of consumers presenting a set of homogeneous needs. Or more simply it’s the practice of separating the total market into a number of minor or similar submarkets designated market segments.”
(Daniels, 1995 Essentials of Marketing, P.261,)There are many ways or factors which organizations may use to segment the market. Some of the factors widely used are;
Types of segmentation
Demographic segmentation, which considers the number of people living in a particular area a particular time, the climate and the size of the population as well.
Economic segmentation considers the income level of the target market. As a matter...

...﻿Explain how and why groups of customers are targeted for selected products
What is segmentation?
Market segmentation is the division of a market into sub groups with similar characteristics. A business can then target these groups and develop products and services for each of them. There are several ways in which consumers can be split up into. These is geographically which includes location, demographically which includes gender, social class, age, income, ethnicity or religion, psycho graphically which includes lifestyle and personality, and finally behaviourally which includes type of user, high quality products, size and value.
Characteristics of segmentation
Business to Business
This is the process of a business selling their goods or service to other businesses. This can be between a manufacture and a wholesaler or a wholesaler and a retailer. For business to business the market can be divide into:
Age – Many businesses pay close attention to the ages of their customers which means that over 50’s can be seen as one segment, while teenagers ages 14-18 can be viewed as another segment. For teenagers, Hip hop CDs can be targeted for teenagers whereas Hits of the 90s can be suitable and see as more attractive for older buyers.
Gender – Businesses may choose to target either male or females because usually they differ in spending patterns. They take into consideration into what men and women both respond to for...